Coral Newsprints Ltd announced its financial results for the quarter ending December 31, 2025, during a board meeting held on January 21, 2026. The company reported a net loss of ₹8.84 lacs for Q3 FY26, showing an improvement from the ₹12.49 lacs loss recorded in the corresponding quarter of the previous year.

Financial Performance Overview

The company's financial performance for Q3 FY26 reflects ongoing operational challenges, with zero revenue from operations and minimal income from other sources.

Expense Analysis

The company's total expenses for Q3 FY26 amounted to ₹9.83 lacs, compared to ₹13.09 lacs in the corresponding quarter of the previous year. Employee benefits expense constituted the largest component at ₹5.98 lacs, followed by other expenses at ₹2.92 lacs and depreciation at ₹0.93 lacs.

Nine-Month Performance

For the nine-month period ending December 31, 2025, Coral Newsprints reported a cumulative loss of ₹40.27 lacs, representing a marginal improvement from the ₹41.86 lacs loss in the corresponding period of the previous year. Total expenses for the nine-month period stood at ₹41.25 lacs compared to ₹42.58 lacs in the previous year.

Going Concern Uncertainties

The company's auditors, L. N. Malik & Co., have highlighted significant going concern uncertainties in their limited review report. The auditors noted that the company has not achieved any turnover from April 1, 2025, to December 31, 2025, and has incurred continuous losses resulting in eroded net worth. Additionally, the company's current liabilities exceed its current assets, and it has sold major portions of its plant and machinery during the previous financial year and the half-year ended September 2025.

Board Meeting Details

The board meeting was conducted at the company's registered office on January 21, 2026, from 2:30 PM to 6:45 PM. The meeting agenda included approval of previous meeting minutes and discussions regarding company operations. The meeting outcome was communicated to BSE Ltd under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Management Outlook

Despite the challenging financial position, the company has prepared its unaudited financial results on a going concern basis. The auditors noted that the company's ability to continue as a going concern depends on support from directors for business generation and fund infusion to meet financial obligations and operational expenditures.

Corn futures experienced their most significant decline since June 2023, plummeting as much as 5.8% in Chicago following an unexpected supply outlook revision from the US Department of Agriculture. The dramatic reversal caught markets off guard as traders had initially seen gains before the USDA's monthly supply and demand report revealed larger-than-anticipated American corn supplies.

USDA Surprises with Record Yield Projections

The agriculture department defied widespread analyst expectations by raising the average corn yield to a record 186.5 bushels per acre, up from the previous estimate of 186.0. This increase came as a complete surprise to market participants, with none of the more than 20 analysts surveyed by Bloomberg anticipating a yield hike.

Many analysts had expected the USDA to reduce the US corn yield estimate following dry weather conditions that emerged toward the end of the growing season. Instead, the agency's upward revision sent shockwaves through commodity markets.

Market Impact and Analyst Reactions

"The risk for the market was that no one was looking for larger yield in the corn, and that's what we got," said Charlie Sernatinger, head of grain futures at Marex. He characterized the report as "bearish on all fronts," highlighting the unexpected nature of the supply increase.

The additional supply comes at a challenging time for grain markets, which were already contending with substantial global grain and oilseed harvests. Demand has faced interruptions due to geopolitical tensions, including disputes between the US and China, as well as ongoing conflicts affecting Russia and Ukraine.

Agricultural Conditions and Production Outlook

Overall favorable weather conditions contributed to yield increases across the majority of the Corn Belt region. Several states achieved record-high yields, including Indiana, Nebraska, Minnesota, and the Dakotas. These strong production numbers have left farmers with larger supplies compared to the previous year as another planting season approaches.

Strong corn demand had been a relative bright spot for US farmers over the past year, encouraging increased plantings last spring at the expense of other crops like soybeans. However, the current supply situation presents new challenges for agricultural markets.

Policy Response and Industry Outlook

The USDA recently announced a $12 billion aid package for farmers, described as a "bridge" to help reach better economic times. The Renewable Fuels Association has suggested increasing corn-based ethanol content in US gasoline as one potential solution to address supply concerns.

"Today's surprise USDA report serves as a sobering wake-up call about the state of farm economy and underscores the need for lawmakers to take immediate action to expand markets for America's corn growers," stated RFA Chief Executive Officer Geoff Cooper.

Meanwhile, the USDA reduced its outlook for American soybean exports, citing increased production and exports from Brazil, the world's leading soybean producer. This adjustment occurred despite China nearing completion of its goal to purchase 12 million tons of US soybeans.